Neo Price Analysis: NEO/USD Approaching Key Supports

Neo price traded towards the $60.00 resistance against the US Dollar. NEO/USD topped at $58.35 and is currently correcting lower towards the $53.50 and $51.50 supports.

Key Talking Points

Neo price made a short-term top around the $58.40 level against the US Dollar.

There was a break below a key bullish trend line with support at $56.00 on the hourly chart of the NEO/USD pair (data feed by Bitfinex).

The pair is correcting lower and is approaching towards the $53.50 and $51.50 support levels.

Neo Price Chart Analysis

There were bullish moved above the $50.00 pivot level this past week in Neo price against the US Dollar. The NEO/USD pair traded higher and broke a few important resistances such as $55.00 and $58.00.

The chart suggests that the price faced a solid selling interest above the $58.00 level. A high was formed at $58.35 before the price started a downside correction. It moved down and broke the $57.00 and $56.00 levels.

There was also a break below the 23.6% Fib retracement level of the last wave from the $50.18 low to $58.35 high. More importantly, there was a break below a key bullish trend line with support at $56.00 on the hourly chart of the NEO/USD pair.

The pair is now trading well below the $55.00 level and the 100 hourly simple moving average. On the downside, there are many supports above $50.00. An initial support is around $53.50 and the 50% Fib retracement level of the last wave from the $50.18 low to $58.35 high.

Below the $53.50 support, the next major buy zone is around the $51.50 level, which was a resistance earlier. Any further declines may perhaps put a lot of pressure on buyers and neo price may decline towards the $50.00 handle.

On the upside, the broken support at $55.00 and the 100 hourly SMA are likely to act as hurdle for buyers. Above the $55.00 hurdle, the price could accelerate gains and it could trade back towards the $58.00 level.

About author

Aayush has spent over a DECADE as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency, commodities, Bitcoin and Ethereum markets. He is a software engineer by profession, loves blogging and observing financial markets
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